USD/JPY Evening Star Delivers Intraday Drop
- USD/JPY Technical Strategy: Sidelines Preferred
- Doji highlights indecision near 102.00 handle
- Range between 101.20 and 102.77 remains in play
USD/JPY continues to search for direction with traders seemingly unable to make up their mind as to which way to swing the currency on either side of the 102.00 handle. Signs of hesitation are made further evident by the Doji formation on the daily.
Daily Chart - Created Using FXCM Marketscope 2.0
An Evening Star formation on the four hour chart signaled the latest swing lower for USD/JPY. While the pattern offers a bearish signal, the extent of any declines may be limited given the context provided by the daily.
Four Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Currency Analyst, DailyFX
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